MagicJack sees 'best ever' 30-day sales period, cancels planned share sale

Free VoIP provider magicJack VocalTec (Nasdaq: CALL), which in September updated its guidance to forecast 20-30 percent revenue growth in 2012, said it has sold more than 365,000 magicJack PLUS devices in the last 30 days and is estimating fourth quarter 2011 sales to total $55 to $60 million. It's the most magicJack devices the company has shipped in a 30-day period.

"The company is having its best sales quarter ever," said Dan Borislow, CEO and Director of magicJack VocalTec. "Most of these sales will translate into revenue and income in future periods as we recognize the great majority of these sales as revenue over a 12-month, or longer, time frame."

The sales bonanza is producing a revenue bonanza, Borislow said, with the company now expecting to have the most cash and cash equivalents on its balance sheet in its history, more than $50 million next month.

The infusion of cash and cash equivalents also is prompting the company to halt the offering of its shares, determining that the dilution at current market prices was not worth any benefits it might receive from raising capital. Borislow said magicJack VocalTec likely will resume its stock repurchase program, as well.

The company so far has sold more than eight million magicJack devices since launching in 2008.

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